Capesize, Panamax, Ultramax/Supramax, and Handysize markets faced mixed conditions, with tepid starts, limited activity, and variable rates across regions. Pacific stability contrasted with subdued Atlantic performance, reports Baltic Exchange.
Capesize
The week commenced with a tepid start as the BCI 5TC index slipped, reflecting limited activity in both regions. As the days progressed, the Pacific saw a reasonably robust list of available cargoes, although activity was still somewhat stagnant. Midweek, the market faced challenges despite heightened activity, with the BCI 5TC index experiencing a notable drop, sliding $1,017 to settle at $19,717. Ample tonnage availability in the Pacific hindered any potential gains, while weaker fixtures in the Atlantic further pressured the market. Towards the end of the week, the Pacific showed signs of stability with all miners active and an increase in coal cargoes. Despite decent volumes, the market struggled to gain momentum. However, by Friday a couple of stronger fixtures were reported resulting in the C5 index finishing the week at $9.820. Overall, the week concluded on a mixed note. Conditions in the Atlantic remained subdued, while the Pacific showed slight improvement, leading to a $313 increase in the BCI, which settled at $19,299.
Panamax
A compelling week in the Panamax market. The North trans-Atlantic runs providing numerous points of discussion, with wide ranging views on where true market value lay. Tight tonnage count this side persisted all week, whilst those owners looking to minimise duration and secure positioning for latter contracts, securing the few mineral voyage cargoes available. Unsurprisingly returning a heavily discounted equivalent way below index levels. An underwhelming week ex-South America, with only a brace of end August arrival deals concluded basis delivery APS load port basis around the $19,000 + $900,000 mark. The Asian basin saw decent volume ex-Australia and Indonesia, however tonnage particular in the North of the region forcibly keeping a lid on rates. A mix of rates emerging ex-Australia, the median rate overall came to around the $14,000 mark. Period activity overall but did include reports of an 82,000-dwt delivery China agreeing $18,250 basis 5/7 months trading.
Ultramax/Supramax
A rather uneventful week for the sector as the ‘summertime blues’ kicked in. The recent upturn from the US Gulf ended as demand fell away putting downward pressure on rates. The South Atlantic also lacked much fresh impetus with rates hovering around last down. The Continent – Mediterranean was seen as positional with limited fresh enquiry appearing. From Asia, a fairly similar story but some said it was a bit more positional. As the week progressed, the Indonesian coal demand slipped down and prompt tonnage lists grow. A 55,000-dwt fixing delivery Koh Sichang for a trip via Indonesia redelivery WC India at $13,000. Further north, there was intermittent demand, with a 63,000-dwt open China fixing a trip via Gulf of Aden redelivery Mediterranean at $16,000 for the first 65 days and $18,000 for the balance. For NoPac business a 58,000-dwt open Japan fixed a soda ash run via NoPac redelivery Southeast Asia at $14,000. The Indian Ocean remained fairly subdued, with a 60,000-dwt fixing delivery Hamriyah trip via Arabian Gulf redelivery WC India in the mid $18,000s. It was also noted that with the general lack of demand, period activity also dropped off as many players waited to see is the fundamentals may change.
Handysize
With the Summer holiday season in the Northern hemisphere and the Olympic games in Paris, it has been only what can be described as a rather uneventful week for the sector. The Atlantic was rather positional. Some felt that a slight upward trend remained both from the US Gulf and South Atlantic, although it was patchy. A 38,000-dwt rumoured fixed in the mid $19,000s for an Upriver Plate trans-Atlantic run. However, it also surfaced that a 35,000-dwt fixed from North Brazil to the Mediterranean at around $15,000. The Continent-Mediterranean lacked fresh impetus but a 40,000-dwt fixed delivery United Kingdom trip via the Baltic redelivery West Africa (non HRA) in the mid $15,000s. From Asia, as the week progressed, brokers said it was becoming increasingly evident that lower cargo volumes were being felt and that the amount of prompt tonnage increased. From the Indian Ocean, limited action again saw a 32,000-dwt fixed delivery Damman for a trip via the Arabian Gulf redelivery EC India at $11,000.
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Source: balticexchange
